Finders Resources : Confirmation of Release - June 2017 Half Year Results Summary

For ASX Market Release: 19 September 2017

June 2017 Half Year Results Summary

HIGHLIGHTS

Wetar Copper Project (74.1% interest)

• 12,929 tonnes of copper cathode produced and 14,572 tonnes of copper cathode sold

• Unsold finished product inventory of 1,729 tonnes copper cathode with a value of US$10.3 million

• C1 cash cost of US$1.03 per pound of copper produced and AISC cost of US$1.36 per pound of copper produced

• Debt reduced by US$16.9 million to US$74.5 million

  Corporate

• Underlying EBITDA of A$57.5 million

• EBITDA of A$71.3 million, including deferred hedge gains of A$13.8 million

• Operating cash flow of A$30.2 million

• NPAT of A$41.7 million

• Basic earnings per share of 4.38 cents

Managing Director Barry Cahill commented: "The June 2017 half year result consolidates what has been a transformational period for Finders, and has confirmed the Company as significant copper producer amongst its ASX-listed copper peers with robust financial and production metrics. Finders' focus now turns to debt reduction and extending the mine life beyond the current 7 years, with drilling underway testing for extensions to the Lerokis Ore Reserve and before commencing at the Meron massive sulphide deposit, which immediately adjoins the Kali Kuning mine site."

Contacts: Mr Gary Comb

Non-Executive Chairman

Mr Barry Cahill Managing Director Mr Wayne Apted Chief Financial Officer

Phil Retter Investor Relations NWR Communications phil@nwrcommunications.com.au

T: +61 407 440 882

Perth Office: 25 Colin Street West Perth WA 6005 T: +61 8 6555 3996 F: +61 8 6555 3998

E: info@findersresources.com

ASX Code: FND

www.findersresources.com

June 2017 Half Year Results Summary

Adjustment to classification of prior year equity balances

The classification of prior year balances within equity have been adjusted to reflect changes in the economic interests in subsidiaries, that has increased the net assets attributable to shareholders of Finders and decreases non-controlling interests, as outlined in note 1 of the Notes to the Financial Statements. These adjustments have not impacted EBITDA, net profit, other comprehensive income, cash flows, earnings per share, total net assets and total equity that has been previously reported.

Background Information on Finders

Finders is the operator of the Wetar Copper Project (74.1% interest) located on Wetar Island in eastern Indonesia.

The Wetar Copper Project comprises the development, open pit mining and processing of the high-grade sulphide deposits at Kali Kuning and Lerokis located within 3 kilometres of the coast on Wetar Island. The project benefits from having existing infrastructure in place, particularly a wharf, camp and roads and partially exposed copper ore bodies from a prior gold mining era.

Finders currently operates a 25,000 tonne per annum ("t.p.a") copper cathode solvent extraction-electrowinning ("SX-EW") plant, commissioned in May 2016, and a 3,000 t.p.a SX-EW plant giving annual production capacity of 28,000 tonnes copper cathode. To date, the plants have produced over 27,000 tonnes of copper cathode. The average sale price for all copper sold to date has been a premium to the LME price.

The project currently has a total debt of US$72.3 million (including a VAT facility) repayable over the period to March 2019 and has a projected cash operating cost of US$1.05/lb Cu over the life of mine.

Opportunities for extending the mine life past the current 7 years are strongly founded on exploration upside, focussing on the nearby Meron satellite deposit and other identified VMS copper and gold targets on Wetar Island.

Disclaimer

This announcement may or may not contain certain "forward-looking statements". All statements, other than statements of historical fact, which address activities, events or developments that Finders believes, expects or anticipates will or may occur in the future, are forward- looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "targeting", "expect", and "intend" and statements that an event or result "may", "will", "can", "should", "could", or "might" occur or be achieved and other similar expressions. These forward-looking statements, including those with respect to permitting and development timetables, mineral grades, metallurgical recoveries, potential production reflect the current internal projections, expectations or beliefs of Finders based on information currently available to Finders. Statements in this document that are forward-looking and involve numerous risks and uncertainties that could cause actual results to differ materially from expected results are based on the Company's current beliefs and assumptions regarding a large number of factors affecting its business. Actual results may differ materially from expected results. There can be no assurance that (i) the Company has correctly measured or identified all of the factors affecting its business or the extent of their likely impact, (ii) the publicly available information with respect to these factors on which the Company's analysis is based is complete or accurate, (iii) the Company's analysis is correct or (iv) the Company's strategy, which is based in part on this analysis, will be successful. Finders expressly disclaims any obligation to update or revise any such forward-looking statements.

No Representation, Warranty or Liability

Whilst it is provided in good faith, no representation or warranty is made by Finders or any of its advisers, agents or employees as to the accuracy, completeness, currency or reasonableness of the information in this announcement or provided in connection with it, including the accuracy or attainability of any Forward Looking Statements set out in this announcement. Finders does not accept any responsibility to inform you of any matter arising or coming to Finders' notice after the date of this announcement which may affect any matter referred to in this announcement. Any liability of Finders, its advisers, agents and employees to you or to any other person or entity arising out of this announcement including pursuant to common law, the Corporations Act 2001 and the Trade Practices Act 1974 or any other applicable law is, to the maximum extent permitted by law, expressly disclaimed and excluded.

Distribution Restrictions

The distribution of this announcement may be restricted by law in certain jurisdictions. Recipients and any other persons who come into possession of this announcement must inform themselves about, and observe any such restrictions.

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Finders Resources Limited, 25 Colin Street, West Perth WA 6005